Ecclestone, the concord and break away plans

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nae
nae
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Re: Ecclestone plans new championship without FIA

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I have to confess i do 'post' regularly
sometimes with up to 5 forums a day!
this in no way effects my ability to talk rubbish

and i will post rubbish until at least November next year

unless there is a breakaway thread
..?

donskar
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Re: Ecclestone plans new championship without FIA

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nae, I hope you understand my last post was meant to be funny and in no way a critical or negative comment
Enzo Ferrari was a great man. But he was not a good man. -- Phil Hill

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WhiteBlue
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Re: Ecclestone plans new championship without FIA

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It looks to me that Bernie will never be able to stand the teams bickering. He will always need someone to sort them out for him. Max has found a way to finally extract himself of the nauseating nightmare that rules negotiations were under concord conditions. Bernie will find out that he will have to give the teams the veto back to get them into his corner. and then he will not be able to stand it for any great length of time. he loves being a dictator but certainly not the 1st grade school teacher. I can see why he now denies that he ever thought about a break awy.
Formula One's fundamental ethos is about success coming to those with the most ingenious engineering and best .............................. organization, not to those with the biggest budget. (Dave Richards)

nae
nae
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Re: Ecclestone plans new championship without FIA

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donskar wrote:nae, I hope you understand my last post was meant to be funny and in no way a critical or negative comment
I did, but even if it was critical or negative I would have welcomed it

it can be very hard to get humor across on an eclectic forum such as this, as there are so many nationalities, languages and styles of humor at play, it is fair to say
(with me at least) that a late night Saturday post is often an attempt at drunken humor
..?

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Johan
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Re: Ecclestone plans new championship without FIA

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For me, the whole idee s*cks, because Bernie and the FIA know it's impossible. With impossible, I mean it's absolutely not good for the money. But if they split-up, 1 serie will have the same problems as the Champ Cars.

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WhiteBlue
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Re: Ecclestone plans new championship without FIA

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AMS who seem to be communicating this thing more openly than other media had the following remarks.
Die Teams spalten sich derzeit in zwei Lager. McLaren-Mercedes und Honda stehen auf der Seite von Ecclestone. Toyota und Williams halten nichts von einer Piratenserie ohne die FIA. Ferrari hält sich zurück:"Wir äußern uns zu dem Thema erst, wenn alle Fakten auf dem Tisch liegen", erklärte Pressesprecher Luca Colajanni. Ferrari vermutet, dass es im Zuge des Mosley-Skandals noch zu weiteren Enthüllungen kommen wird. BMW-Sportchef Mario Theissen ist ähnlich vorsichtig: "Ich habe im Moment noch kein klares Bild." Theissen sagt aber auch: "Eine eigene Serie ist bei allen Szenarien, die durchgespielt wurden, nicht die erste Option."
translation:
The teams are currently splitting into two camps. McLaren-Mercedes and Honda are on Ecclestones side. Toyota and Williams disapprove a break away series without the FIA. Ferrari are sitting on the fence: "We will not comment before all facts are on the table." said press officer Luca Colajanni. Ferrari assume that there will be further revelations in the course of the Mosley scandal. BMW motorsport director Mario Theissen is similarly carefull: "I do not have a clear picture at the moment", and he adds:"From all available scenarios a break away series is not the first option."
There can be little doubt that Bernie send this test balloon up to increase pressure or for whatever reason he has. It is equally clear that the idea has some big disadvantages and that the support from teams and manufacturers isn't unanimous.

Ferrari and BMW seem to think that the NoTW law suit will provide more information on what really happened. Who will be negatively affected by additional information? I don't think that Mosley's side can be further damaged. So it appears that relevations about his adversaries are in the pipeline. Bernie could be in for a rougher ride.
Formula One's fundamental ethos is about success coming to those with the most ingenious engineering and best .............................. organization, not to those with the biggest budget. (Dave Richards)

Ogami musashi
Ogami musashi
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Re: Ecclestone plans new championship without FIA

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Johan wrote:For me, the whole idee s*cks, because Bernie and the FIA know it's impossible. With impossible, I mean it's absolutely not good for the money. But if they split-up, 1 serie will have the same problems as the Champ Cars.
Champ car was run under FIA rules.

There's almost no high level championship in the world that is not scrutinized by the FIA.

Even ACO's Le Mans racing runs in conformity with FIA regulations.

In 2005 Max Mosley said that the breakaway was unlikely for him because it was almost impossible to set up a championship without FIA involved.

Indeed that is...

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WhiteBlue
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Re: Ecclestone plans new championship without FIA

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more quotes from Theissen on http://www.motorsport-total.com/f1/news ... 60747.html
"We have talked about a new concord agreement yesterday and this morning for almost three hours. I did not get the impression there that Bernie thinks the teams are in his way. Today we have at least made it clear that we want to achieve it. Of course it will take time to find a common position but the intention is there. I would prefer to have the FIA on board in a role clearly defined by the concord agreement. But before we can ask them we would have to put a proposal on the table."
This quote makes it obvious that the meetings in Montreal failed to even produce a unified draft for a concord agreement. The chances to start a break away series look indeed slim if Bernie and the teams cannot even agree on what they want the FIA to sign.

Theissen on Autosport
"Certainly there is a power struggle going on and it will carry on for a few more weeks before we see what direction it takes,"
Formula One's fundamental ethos is about success coming to those with the most ingenious engineering and best .............................. organization, not to those with the biggest budget. (Dave Richards)

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checkered
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Re: Ecclestone plans new championship without FIA

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I think Gordon Kirby raises

a few intriguing possibilities in his latest column (I seem to be quoting him quite a lot). As usual, the whole article (F1's passion play whirls along) is worth reading for various reasons, I'm only pointing out the part which applies directly to this issue.
Gordon Kirby wrote:There's also a growing belief within some corners of the F1 paddock that Mosley, Ecclestone and the FIA are so embroiled in their own egos and politics that they have not noticed their real opposition is not so much the enemy within, but Rupert Murdoch. The Australian media tycoon owns many newspapers, including the UK's Sunday Times and News of the World, and both currently are engaged in suits with the FIA.

Murdoch also owns Sky TV in Europe and Fox in America, both of which are heavily committed to NASCAR and for the first time this year all thirty-six NASCAR Sprint Cup races are being televised live across Europe on Sky. Some people believe Murdoch is poised to take advantage of the current political upheavel in F1 to expand NASCAR's global television market. Other longtime observers of F1 think Murdoch may be positioning himself to buy CVC Capital Partners, the holding company that owns F1.

So as Robert Kubica and BMW bring a refreshing new flavor to F1, the ongoing battle for political and financial control of the sport also appears to be entering a new era. At this stage, nobody is prepared to place any bets on how it's all going to shake out.
So, are the manufacturers, title sponsors and teams in F1 now between the proverbial "rock and a hard place" with a "choice" between the feuding Mosley/Ecclestone duo and the News Corp. behemoth? It wouldn't be an admirable position to behold or be in and makes for a deeply unsettling view of the future. This could explain Bernie's willingness to get a rid of Max; if he is to compete with Murdoch's wiles the FIA - if the FIA is to remain useful and in the picture - cannot afford alienating the AAA, ADAC, or other clubs on which the legitimacy of the FIA really relies on, for much longer.

And then of course, News Corp. could be the only viable buyer and CVC might be equally determined to unload F1 at this time. In this case Bernie is perhaps already reduced to just doing CVC's/News Corp's bidding. He certainly can't match them in wealth and general influence, not without the steadfast support of the manufacturers. People are so used to thinking of him as the "puppet master" that it's a bit of a stretch to accept that he also must function to some greater realities.

Also, it is notable that in a scenario where News Corp. wants to take complete control of F1, Mosley holding onto his ever diminishing power is exactly the ticket that can facilitate Murdochs' possible ambition. So who's to say that News Corp. isn't also in cahoots with Max, actually? Generally speaking, when it comes to billions of dollars, people tend to have very few qualms with protecting or acquiring those. It really is a house of mirrors with this one. In these cases allegiances are also easily shifted in opportunistic moves. Don't expect anyone to hold a self-defeating position for too long.

This also puts Tony George in a particularly interesting position, there are some services he could render to tip the scales one way or another. Of course all of the above is wild and knowingly contradictory speculation based on a few notions by Kirby and others have picked up along the way and thus must not be taken as fact or even as a serious suggestion. At the outset, the synergies that News Corp. could offer certainly seem many and varied. Even a surprise aligning of F1 and IndyCar rules could be in the cards, with affiliated continental "leagues" emerging.

Just how Faustian a deal it'd be with possible News Corp. hegemony compared to the current and other imaginable options, it's hard to tell. Certainly the media landscape (and probably many other aspects) of F1 would be changed beyond recognition.
"In theory there's no difference between theory and practice. In practice, there is." - Yogi Berra

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WhiteBlue
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Re: Ecclestone plans new championship without FIA

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very interesting, checkered!
The previous day Ecclestone had been able to get one London newspaper to write a story suggesting the posibility of a 'breakaway series' but he denied ever saying such a thing and also took the opportunity to rip one well-known reporter's tape recorder from his hands and hurl it across the floor.

It's impossible to read Ecclestone who wears a deadpan expression much of the time, but he looked a seriously troubled man in Montreal last weekend.
this confirms that Bernie is under pressure from CVC as the German media have said before

it is not the first time that a media group took control of F1. one should remember Kirch. CVC is not likely to keep F1. that isn't the style of private equity. they are also not likely to be bought by Newscorp. but they could sell F1 to Newscorp.

such a move makes sense to Murdoch. he is buying a lot from Bernie already for Speed, Fox, ITV and Premiere. he could make a lot of synergies that are not open to other owners. he could give F1 US races by televising it. if he owns it he certainly could solve the old hen and egg problem. with a US presence the series would be much more valuable to sponsors.

I doubt that Murdoch is a player per se in the Mosley passion play. If he is then he must have some excellent support by Bernie. I believe that Bernie is much to active in this to be an innocent bystander in the setting up of Max. one strange thing for a Murdoch/Bernie conspiracy is the sudden BBC deal that Bernie did. he would not do this if he were already in bed with Murdoch.

so, yes I think CVC could be contemplating Newscorp as the next owner of FOM and Bernie is ably supported by NoTW and the Times. but thats probably as far as it goes at this time.
Formula One's fundamental ethos is about success coming to those with the most ingenious engineering and best .............................. organization, not to those with the biggest budget. (Dave Richards)

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Chaparral
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Re: Ecclestone plans new championship without FIA

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I wonder who at Murdoch is pushing for a possible content deal (because thats all it basically comes down to - its not about F1 unless James has suddenly become a fan). Lachlan, Ruperts eldest son sits on the sidelines at the moment (whilst still on the board) so if its anyone it has to be James who runs a fair share of the communication side of the business and whos entreprenurial skills are quite good in the area of the entertainment industry. I like that take of yours Checkered re the US situation - great idea to be honest. :)
The music business is a cruel and shallow money trench, a long plastic hallway where thieves and pimps run free and good men die like dogs - there's also the negative side' - Hunter S Thompson

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WhiteBlue
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Re: Ecclestone plans new championship without FIA

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http://www.independent.ie/sport/motor-s ... 10428.html

RBR is going to loose a ton of money if Bernie takes the teams to GP1.
Sir Jackie has a big motivation for his talk.

The financial analysis is very detailed but one has to ask oneself who is behind this. If oil money is suspected as the most probable buyer some of the more common observations of potential strategic buyers is blatantly disregarded.

I see a strategic buyer from the media industry making a lot more sense. so this could be a red herring?
Formula One's fundamental ethos is about success coming to those with the most ingenious engineering and best .............................. organization, not to those with the biggest budget. (Dave Richards)

modbaraban
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Re: Ecclestone plans new championship without FIA

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Why GP1? Formula1 brand is property of FOM not FIA :?

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WhiteBlue
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Re: Ecclestone plans new championship without FIA

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modbaraban wrote:Why GP1? Formula1 brand is property of FOM not FIA :?
You are mistaken my friend. It is the FIA Formula 1 world championship. The FIA is the owner. FOM only has the commercial rights to exploit it. They paid 310 million $ for that right from 2010 to 2110. They would not pay if they were the owner. They have only leased it.

Newscorp are turning the screws
From The TimesJune 16, 2008

Formula One can bypass the Max Mosley gridlock, says Bernie Ecclestone
Bernie Ecclestone is seen in the paddock before the Monaco Formula One Grand Prix
Edward Gorman, Motor Racing Correspondent
Bernie Ecclestone has spoken openly for the first time about the possibility of a breakaway by Formula One from the FIA as the sport remains paralysed by the breakdown in his relations with Max Mosley. Ecclestone has so far distanced himself from direct endorsement of rumours that some Formula One teams would like to set up a new championship outside the auspices of the FIA and Mosley, its president. But in an interview with The Times this weekend, Ecclestone speaks about it as a possible way out of the impasse.

In remarks that will be seen as part of the continuing bout of megaphone diplomacy between Ecclestone and his former friend, the Formula One rights holder gives warning that the teams are free to do as they please in the absence of a new “Concorde Agreement” between them and the FIA the Formula One governing body.

“What the FIA doesn't have, which is the most important thing for them, is an agreement with the teams which they would have with a Concorde Agreement,” Ecclestone said. “The teams can do what they like. At the moment what we are trying to do, to keep sponsors happy, is say we can't break away, but it could well be that that will happen. There is no agreement between the teams and the FIA. There is a commercial agreement that has been signed by the teams and FOM [Ecclestone's company], so the teams can do what they like.”

The source of Ecclestone's frustration is twofold. On the one hand he no longer makes any attempt to hide his view that Mosley should stand down in the wake of revelations about his private life; on the other he is becoming increasingly frustrated by Mosley's refusal to enter into negotiations on a new Concorde Agreement and the FIA's determination to enlarge its influence over the way the sport is run.

In his interview with The Times, Ecclestone went on to suggest that the lurid newspaper allegations, strongly denied by Mosley, of Nazi role-playing between Mosley and several prostitutes was damaging the substantial Jewish investment in Formula One.

Mosley believes Ecclestone is trying to wrest control of the sporting regulations from the FIA and wants to remove the FIA's veto over who Ecclestone could sell the business to. The two men are also at loggerheads over Mosley's determination to have a greater say on how the income from Formula One - worth thousands of millions a year - is divided up. Ecclestone will have none of it. “Max has nothing to do with finance,” he said. “The FIA has a clear, clear, clear agreement and signed agreement with the European Commission that they are the regulators of the sport. They are not anything to do with money. If Max comes back and says we should give more money to teams, I will tell him to mind his own bloody business.”

Ecclestone believes the crisis is inflicting commercial damage on the sport. “It's time-wasting,” he said of the refusal of Mosley even to talk to him. “People don't know what's going on,” he said. “So if you are a big, big organisation, you don't know what decisions to take. I am responsible to our shareholders, who have an awful lot of money invested. And I am responsible to all the teams and the manufacturers, who have an awful lot of money invested. Max is responsible to the people in wherever who have got no money invested and nor has the FIA got money invested - all they've got is money that comes from Formula One [£30 million a year]. If there was no Formula One, the FIA would be in serious trouble.”

Ecclestone added that Jewish investors are extremely unhappy. “They say the FIA shouldn't let somebody like Max represent them,” he said.
so the times are now using the Nazi connotation (which was very likely fabricated by their sister paper NotW)to increase pressure, that's strong

I would suggest for Bernie to offer better conditions and consider what Max wants for the FIA if he wants to come to a deal instead of making speaches out of the window

Bernie is right that the teams have no obligations to compete in an FIA F1 championship, but there is no obligation for the FIA to support any form of concord either. so if he wants a tripartite agreement it is up to him to make the necessary concessions.

alternatively he has the option to do his break away thing. in that case he will destroy huge brand value and CVC will have to do something to compensate the bond holders like RBS (1.1 billion $) or they will face the music in the courts for misrepresentating the securities in the due diligence.
Formula One's fundamental ethos is about success coming to those with the most ingenious engineering and best .............................. organization, not to those with the biggest budget. (Dave Richards)

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Ciro Pabón
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Re: Ecclestone plans new championship without FIA

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Well, I'm not sure who's mistaken. As far as I understand it, Formula One is not a brand. It's a sport.

It does not belong to FIA, the same way football is not a brand and does not belong to FIFA.

The same way FIFA organizes the World Football Championship because the country federations agree on that, FIA organizes the Formula One World Championship because the racing federations give them the power. What they do NOT own is the name of the sport. Same goes for tennis, basketball, etcetera. Anyone can split from that organization and start his own championship and set of national representatives and use the name.

Of course, any sane person understand the power of monopolies and the politicking and has seen the sorry spectacle shown by the sports that suffer this kind of division, but F1 is not special in that sense. It's not that artistic to have copyrights... ;)

So, I conclude that anyone can register his own Formula One championship, at least for the moment. Here is the quote, digged by our fellow forumer Chaparral, at GP Lounge:

http://uk.reuters.com/article/UK_MOTORS ... 5120070712
LONDON (Reuters) - Formula One bosses failed to secure exclusive rights to the sport's 'F1' abbreviation on Thursday after the Trademark Registry ruled against them.

Registry Official David Landau, relying on evidence from media coverage and online encyclopaedia Wikipedia, found that the public would recognise Formula One as a type of sport rather than a brand name.

"As Wikipedia comments, F1 is the highest class of single-seat, open-wheel formula auto racing. There is no hint in the Wikipedia references to indicate that F1 is seen as anything other than a particular form of motor racing," he said.

Landau said the fact that the Formula One Group was the only organisation organising F1 races "does not mean that the public will perceive F1 as a trademark.

"It just means that currently it enjoys a monopoly on the races. However, if private owners of F1 cars race them on a friendly basis is that not an F1 race, if not on a commercial basis?"

He rejected the trademark application by the Group's commercial rights arm, Formula One Licensing BV (FOL), and backed opposition to the move by motor racing news organisation Racing-Live SA.
Btw, I find curious the timing of this ruling (June 2007) and the problems about the new Concorde that seem to have been developing between FOM and FIA.

I think this ruling is good. It preserves the sport beyond the bickering and politicking that tend to grow inside this kind of sport organizations. Kudos to Racing Live.

For web masters like Tomba, this ruling is a relief: the name of this site can continue to be F1 Technical without paying royalties to FOM (that would be outrageous! :)).

Finally, I believe this ruling means that we have the opportunity (and perhaps, the duty) to defend the sport and fight in any way we can if someone tries to appropriate it. What they can own is the infrastructure, not a small thing, I concede. However, the fans, like us, cannot be owned that easily (I fervently hope, caramba). If a soul in this world is able to create a cooler, more intelligent championship of Formula One, well, we should follow his lead.

It's even a nice ruling. For me, it means that the drivers and the fans follow the path of Juan Manuel Fangio, not the path of Ecclestone. Ecclestone was never good at this sport. He will be mentioned in economic or politic sidenotes in the history books of the next century, while Juan Manuel will live for as long as people plays this game... :)
Ciro